New Paradigm of Decentralized Finance Wealth Management: Opportunities in Simplifying Complex On-Chain Activities and Technological Innovation

Recently, a startup company completed a $4 million financing, reflecting that the on-chain investment field is ushering in new development opportunities. Thanks to advancements in technologies such as intent recognition and large language models, complex on-chain activities are being simplified, and the relevant technological infrastructure has matured. This creates a historic opportunity to reshape the existing Decentralized Finance ecosystem, with new business models and solutions emerging.

However, these emerging technologies and applications still face some challenges, the most critical of which is how to address authorization issues. Whether it is intent recognition, on-chain robots, or AI agents, they need to achieve convenient and efficient operations while ensuring the security of user assets.

With the evolution of the DeFi ecosystem, a new era of wealth management characterized by a higher coupling of security and convenience is approaching. The past "DeFi Lego" model is no longer applicable, and the industry is seeking more integrated and user-friendly solutions.

The new generation of Decentralized Finance tools is attempting to connect various existing DeFi protocols and tools, building a one-stop service for institutional and individual users through API integration. At the same time, these tools also support users in independently constructing and sharing investment strategies, promoting community collaboration.

With the support of new technologies such as artificial intelligence and large language models, it has become relatively easy to build such integrated services at the technical level. The real challenge lies in how to attract user traffic and establish user trust in the platform. After all, businesses involving the flow of user funds are always particularly sensitive.

Looking to the future, on-chain yields are expected to enter the "retail asset management" era. Similar to the role of index funds and 401(k) plans in the US stock market, stable on-chain yield products will attract a large number of retail investors. A stable yield rate of around 5% remains quite attractive and is expected to draw more users from centralized exchanges to the on-chain Decentralized Finance ecosystem.

At the same time, the on-chain of physical asset (RWA) is accelerating. Whether it is complex asset types or diversified Decentralized Finance strategies, they are driving the migration of traditional finance to the blockchain. Some innovative projects have already demonstrated that migrating exchange liquidity on-chain is feasible.

Overall, the current DeFi industry is at a critical juncture of transformation. How to enhance user experience while ensuring security, how to balance AI applications with human intervention, and how to build sustainable business models are all important issues facing the industry. Despite the ongoing challenges, Crypto, as an open and innovative field, still holds enormous development potential and opportunities.